USMCA deal comes at a cost
The Prince Edward Island Federation of Agriculture (PEIFA) is concerned with the recently agreed upon United States-Mexico-Canada Agreement (USMCA).
While the conclusion of the USMCA brings with it a return to market stability and does contain opportunities for Island farmers exporting product to the U.S. and Mexico, initial analysis of the agreement suggests that Canadian supply managed sectors will be negatively impacted. The agreement has provided further market access into Canadian supply managed sectors including dairy, poultry and eggs. This additional access has been granted after concessions made within the negotiation of the Comprehensive Economic Trade Agreement with the European Union (CETA) and the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP). There is a growing concern among farmers that they are being seen as a bargaining chip to be used to secure a deal at the eleventh hour of negotiations. This slow erosion of the Canadian supply management system will result in the loss of farm family income and will affect the health and continued viability of rural communities across Canada, including those on P.E.I.
The PEIFA, alongside its member organizations, and our national partner in the Canadian Federation of Agriculture argued for a “do no harm” approach to these negotiations as well as advocated for regulatory modernization to help resolve logistical barriers to trade.
The Canadian Government did ensure that the USMCA does continue to provide strong market access for potatoes, blueberries, beef and other Island products that sell into the U.S. and Mexican markets. This is laudable and provides a sense of relief for many farms concerned about maintaining long standing market relationships with U.S. and Mexican buyers.
I know these markets are important to the viability of many Island farms and it was important that a deal be reached that helps our Island farmers, it is simply disappointing that it came with a real cost to our supply managed sectors including the many family dairy, poultry and egg farms we have here on P.E.I. The PEIFA will continue to analyze the agreement and consult with its members to ensure that their voices are heard as the Canadian Government moves forward to ratify this agreement.
David Mol,
President of the Prince Edward Island Federation of Agriculture